Publication detail

Economic forecast, winter 2016

The Icelandic economy is undergoing very robust growth, driven by consumption and investment. GDP and private consumption growth was in excess of 4% in 2015 while investment increased by 18%. It is expected that during 2016 the economy will grow by 4.8%, private consumption by 7.1% and investment by 21.7%. In 2017 GDP growth is forecast at 4.4%, private consumption at 5.7% and investment at 7.4%. For the remaining years of the forecast period GDP is expected to grow between 2.6 and 3% per annum, private consumption between 2.5 to 3.7% while investment is expected to increase 1.4 to 4.2% yearly.